The total value of Poles’ savings accumulated in various forms of financial assets at the end of the first quarter exceeded PLN 2 trillion for the first time in history. A quarter of that money is sitting in our accounts, which is worse news given the still high inflation.
Savings for trillions
“The value of net financial assets of households (assets less liabilities) amounted to PLN 2 trillion 30 billion 25 million at the end of the first quarter of 2023, which was 7.4 percent higher than at the end of the first quarter of 2022 and by 2. 6 percent higher than in the fourth quarter of 2022.
For the first time in history, the value of net assets exceeded PLN 2 trillion, the Polish Development Fund informed in the latest summary of information on savings . Let’s add that a trillion is the number one followed by twelve zeros.
The financial assets of households analysed by PFR include cash, savings deposits, insurance policies, voluntary pension schemes, shares in investment funds, shares, bonds, receivables from loans granted to individuals and “other financial assets”
In the report, PFR also notes that the value of total household financial assets has also increased. At the end of the first quarter of 2023, it amounted to PLN 2 trillion 849.9 billion, which is 3.5 percent. increase compared to the first quarter of 2022 and 1.5 percent. increase compared to the fourth quarter of 2022.
A quarter of the savings lie in bills
The largest item in the financial assets of households are transferable current deposits, which accounted for 27.5% of assets. The second most important asset component were other equity interests, whose share in total assets amounted to 13.9%. Other deposits came in third place which accounted for 12.8 percent of financial assets,” wrote PFR analyst Michał Kolasa in the report, noting that only these three items accounted for over 54 percent. total assets.
PFR calculated that Poles accumulated PLN 784.6 billion on current settlement deposits, i.e. 9.1 percent more than in the previous year. less than in the same period a year ago. “On a quarterly basis, the value of deposits turned out to be 0.7 percent higher – it was the first quarter-on-quarter increase after four declines in a row” – indicated in the report.
At the same time, it should be noted that although the total amount of accumulated savings is increasing, inflation remains high, reducing the real value of savings that are simply “on the account”. The fact that “for four months prices have hardly changed” does not significantly affect this problem.
Source: BusinessInsider
